From entrepreneurial resilience to dual performance: how disruptive innovation matters through the support of institutions

Abstract

Purpose Despite growing scholarly interest in entrepreneurial initiatives, how entrepreneurial resilience shape firm performance remains unexplored. To address this gap, this study examines how entrepreneurial resilience influence firms' dual performance (substantive and symbolic) through the mediating mechanism of disruptive innovation and the moderating role of institutional support. Design/methodology/approach Using a quantitative research design, the study tests the proposed relationships through partial least squares structural equation modelling based on data collected from executives of Spanish manufacturing firms. Findings The findings indicate that entrepreneurial resilience has a positive influence on substantive and symbolic performance. Entrepreneurial resilience also has a positive impact on disruptive innovation, which then has a positive impact on both measures of performance. Moreover, disruptive innovation partially moderates the association between entrepreneurial resilience and substantive performance along with symbolic performance. The indirect impact of entrepreneurial resilience on substantive performance via disruptive innovation is further reinforced by institutional support, whereas the impact on symbolic performance is not. Practical implications The findings reveal that Spanish manufacturing firms can achieve stronger performance by establishing entrepreneurial resilience and translating it into disruptive innovation. Study also highlights the importance of institutional support in helping firms convert internal capabilities into substantive outcomes. Originality/value Drawing upon institutional theory, this study extends the entrepreneurship and innovation literature by showing how entrepreneurial resilience is translated into substantive and symbolic performance through disruptive innovation.